Is salesforce a good buy

Is Salesforce Stock a Buy?

• Big market opportunity. Consumers interact with businesses in a variety of ways: marketing content, online stores, sales personnel, customer service agents, and many more.
• Strong financial performance. Salesforce’s leadership position in the CRM market has helped it grow revenue quickly. …
• Innovative culture. …
• A final word. …

Full
Answer

Is Salesforce still a good stock to buy?

Historically, Salesforce has been a great investment. Shares are up 188% over the last five years, more than doubling the 91% return of the broader S&P 500. But winners often keep on winning, and Salesforce still looks like a good stock to buy.

Why is Salesforce so successful?

That strong financial position makes Salesforce’s business agile and resilient. In 1999, Salesforce helped pioneer the SaaS industry when it launched its first cloud-based CRM software. In the 20 years since then, the company’s innovative culture has helped it dramatically expand its portfolio of products.

Is Salesforce a good CRM?

Salesforce: The Good and the Bad The Good Advanced Features: Salesforce offers many advanced features—notably more than the other CRM solutions. It includes advanced marketing automation, 24/7 customer support, and advanced account and contact management.

What companies have been bought by Salesforce?

Its purchase of Exact Target in 2013 was followed by e-commerce platform Demandware in 2016, and MuleSoft in 2018. Last year, Salesforce ponied up $15.7 billion in an all-stock deal to buy data analytics firm Tableau Software.

Is Salesforce a buy hold or sell?

Salesforce has received a consensus rating of Buy. The company’s average rating score is 2.95, and is based on 35 buy ratings, 3 hold ratings, and no sell ratings.

Is Salesforce a good stock to invest?

(NYSE:CRM) delivered a -38.77% return since the beginning of the year, while its 12-month returns are down by -30.47%. The stock closed at $155.60 per share on May 19, 2022. “Salesforce.com Inc. is the dominant provider of customer relationship management software and technology.

Is Salesforce a long-term buy?

Investing.com — Salesforce.com Inc (NYSE:CRM) stock is now up 1.35%, despite an earlier dip after Jefferies analyst Brent Thill lowered the price target on the company’s shares to $330 from $360, keeping a Buy rating.

Where will Salesforce be in 5 years?

Based on our forecasts, a long-term increase is expected, the “CRM” stock price prognosis for 2027-06-04 is 349.270 USD. With a 5-year investment, the revenue is expected to be around +95.72%. Your current $100 investment may be up to $195.72 in 2027. Get It Now!

Is Salesforce a buy Zack?

(CRM) – Zacks….(Delayed Data from NYSE)Zacks RankDefinitionAnnualized Return1Strong Buy25.08%2Buy18.56%3Hold10.15%4Sell5.79%2 more rows

Is Salesforce making money?

What is the Revenue of Salesforce? Salesforce reported revenue of $26.2 Billion to $26.3 Billion for the financial year 2022.

What is the future of Salesforce?

Salesforce as a Game Changer It’s predicted that SaaS CRM solutions will reach a deployment rate of 80 to 85% by 2025. The CRM software market in itself is estimated to grow at a rate of about 14% annually in the short-term, through 2017.

Will Salesforce stock go back up?

Salesforce anticipates a 13% CAGR in 2022 to 2026, with respect to its total addressable market.

Will CRM go back up?

The global CRM market, which was valued at $40.2 billion in 2019, could continue expanding at a compound annual growth rate (CAGR) of 14.2% from 2020 to 2027, according to Grand View Research.

Is Salesforce still in demand 2021?

Salesforce saw a 38% rise in its jobs listings from 2020-2021 and 4.2M jobs will be created in the Salesforce ecosystem by 2024. On February 24th, 2021 a panel of industry experts discussed how roles are evolving and the in-demand tech skills we are seeing, as well as tips on how to advance your career.

Is Salesforce here to stay?

Looking at the rate at which Salesforce adoption is going up and the platform is gaining prominence, it is safe to say that Salesforce is here to stay. Gone are the days when business automation and CRM were new trends in the market.

Who are Salesforce competitors?

Competitors and Alternatives to SalesforceMicrosoft.Oracle.SAP.SugarCRM.Zoho.Sage.Zendesk.CRMNEXT.

Where is Salesforce located?

Headquartered in San Francisco, salesforce.com, founded in 1999, is the leading provider of on-demand Customer Relationship Management (CRM) software, which enables organizations to better manage critical operations, such as sales force automation, customer service and support, marketing automation, document management, analytics and custom application development.

Which is the largest CRM?

Salesforce is currently the largest CRM vendor in the world with a market share of nearly 20% according to reports of Gartner, a global research and advisory firm. Its nearest rival, SAP is way behind at a market share of around 8%. About 90% of the Fortune 100 companies uses at least one Salesforce software.

Does Zackstrade endorse or recommend investment strategies?

The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating indiv idual securities.

How many apps are there in Salesforce?

The marketplace, known as the Salesforce AppExchange, launched in 2006. Since then, the number of apps available has only grown. Today, there are over 5000 apps, from Asana to the Lightning Knowledge dashboard. At least 300 of these apps are mobile-ready, too, with an increasing focus on mobility for the future.

How many cloud tiers does Salesforce have?

For a start, generally speaking, Salesforce comes in four different tiers, as you can see below. It’s also important to note the four different clouds available, too: Sales Cloud, Service Cloud, Marketing Cloud, and Commerce Cloud. Each of these “clouds” is catered towards its target area.

Is Salesforce easy to use?

Ease of use: Salesforce is straightforward and intuitive, so you can spend more time focusing on business than wondering how to handle the software. You can also log in from multiple devices, including a dedicated mobile app, and view and update customers’ data with ease.

Can you customize Salesforce?

Customization options: You can completely customize Salesforce the way you want and need it to be. You perform this with either point-and-click tools or via code for more in-depth customization. You can also add custom fields and tabs, email templates, enhanced reports and dashboards, and automated task management.

Does Salesforce have add ons?

Salesforce has few problems when it comes to add-ons. In fact, users will have access to one of the largest third-party app marketplaces in the world of CRM. That means integrating essential apps like Zendesk and QuickBooks is a complete breeze. The marketplace, known as the Salesforce AppExchange, launched in 2006.

Salesforce is paving the way for companies to transform operations digitally, and the stock drop offers a buying opportunity for long-term investors

If the pandemic has taught us anything, it is that companies have a lot of thinking to do about the future of office technology. The result of that thinking, according to one estimate, is that companies will spend $10 trillion through 2024 transforming their businesses to suit the needs of this new digital world.

NYSE: CRM

Salesforce stock was flying high until its latest earnings and guidance were released on Nov. 30. Investors were disappointed, and the stock price fell. It now trades over 21% off its recent 52-week highs, providing an opportunity for long-term investors to accumulate shares.

Salesforce has been integrating Slack

Salesforce closed the Slack acquisition in July 2021, setting up the company as a juggernaut of workforce communications solutions. One lesson from the pandemic is that companies will need team communication tools such as direct messages, groups, and chats to compete in the “work-from-anywhere” era. Slack provides all of these services and more.

Salesforce is a tech leader

One of the best indications of future success is the product quality that a company puts out. Gartner, a research company that analyzes data and ranks technology companies as challengers, niche players, visionaries, and leaders in various categories, ranks Salesforce as a leader in at least seven of these categories.

Salesforce is seeing revenue growth

Salesforce posted a record $6.86 billion in top-line revenue in third-quarter fiscal 2022, up from $5.42 billion for the same period in the prior year and an increase of 27%. For the full fiscal year 2022, Salesforce expects revenue of $26.4 billion, a 24% jump from fiscal 2021.

Long-term goals intact

Salesforce is unquestionably a market leader in cloud-based digital CRM and other digital transformation solutions — and it has the accolades to prove it. The company has a history of growing acquisitions by integrating them into its cohesive ecosystem of offerings. This bodes well for the Slack acquisition, which closed in fiscal 2022.

Premium Investing Services

Invest better with the Motley Fool. Get stock recommendations, portfolio guidance, and more from the Motley Fool’s premium services.

How much debt does Salesforce have?

It has $2.7 billion in long-term debt, but that figure pales in comparison to its $12.0 billion in cash and marketable securities. That strong financial position makes Salesforce’s business agile and resilient.

How much is Salesforce worth in 2025?

Management estimates the company’s addressable market will reach $175 billion by 2025.

When did Salesforce start cloud based CRM?

Innovative culture. In 1999, Salesforce helped pioneer the SaaS industry when it launched its first cloud-based CRM software. In the 20 years since then, the company’s innovative culture has helped it dramatically expand its portfolio of products. And today Salesforce is just as innovative as ever.

Is Salesforce acquiring Slack?

Salesforce recently announced its intention to acquire communications specialist Slack. This fits the company’s modus operandi as a serial acquirer. Investors should pay attention to this situation: Integrating two businesses can be challenging, and if things go poorly, Salesforce’s performance could suffer.

Does Salesforce have blockchain?

Likewise, the Salesforce low-code platform empowers virtually anyone to build applications, even if they don ‘t know computer code. But the truly innovative part of the platform is its support for blockchain applications.

Is Salesforce a SaaS company?

Salesforce ( NYSE:CRM) is one the largest software-as-a-service (SaaS) companies in the world. Its business is focused on helping clients develop and maintain good relationships with their customers. Historically, Salesforce has been a great investment.

It’s definitely expensive, but this CRM software specialist is far from a “tech bubble” stock

Nicholas has been a writer for the Motley Fool since 2015, covering companies primarily in the consumer goods and technology sectors. He is also the founder and president of Concinnus Financial, a Registered Investment Advisor based in Spokane, WA. He enjoys the outdoors up and down the West Coast with his wife and their Humane Society-rescued dog.

A massive ecosystem designed for the 21st century

Just as productivity software tools like Microsoft Office have become basic staples in the workplace, something similar is happening with Salesforce’s family of cloud software for sales and service, which are designed to help an enterprise keep its customers in mind and enhanced with AI-driven insights.

Growth now, (more) profit later

In spite of its size, the company isn’t letting its foot off the gas. CEO Marc Benioff and the executive team think revenue will increase at least 21% this year to no less than $20.7 billion — keeping its long track record of at least 20% growth per year intact for now.

After its Q4 update, Salesforce remains a great long-term buy in the SaaS space

Nicholas has been a writer for the Motley Fool since 2015, covering companies primarily in the consumer goods and technology sectors. He is also the founder and president of Concinnus Financial, a Registered Investment Advisor based in Spokane, WA. He enjoys the outdoors up and down the West Coast with his wife and their Humane Society-rescued dog.

It’s the bottom line, dummy

Much of the angst surrounding Salesforce these days is regarding the pending acquisition of remote work and collaboration outfit Slack Technologies ( NYSE:WORK). Salesforce itself posted revenue growth of 24% in its 2021 fiscal year (the 12 months ended Jan. 31, 2021) and provided guidance of 21% growth in the year ahead.

A software platform for the future

The long and short here is that Salesforce’s contracting profit margins are by design more than anything else. And it’s also worth noting that despite the stellar revenue growth posted in the last year, this software firm wasn’t exempt from disruption. Many of its customers (and prospective customers) were deeply impacted by the pandemic.

Salesforce CRM At a Glance

Salesforce CRM is best used by established businesses that are looking to streamline or improve their sales function. A large sales team will benefit from the many great features that Salesforce offers, including the customization options and the extensive number of integration options.

Other Benefits

Salesforce offers a lot of different products that will work seamlessly with the CRM. This includes a marketing product that will automate your customer journey and email marketing campaigns. It also includes a fully customizable customer support solution.

Fine Print

Unlike many other CRM options, Salesforce doesn’t offer a free version. This is a product that is for businesses that are ready to move forward and get something that will level up their sales team. The company does offer a free trial that lets you play around either with pre-loaded data or with your own data that you upload.

How Salesforce CRM Stacks Up

Both Salesforce and Freshsales offer AI-powered tools, including lead scoring, and both can be customized to meet your needs. Freshsales works a bit better as an out-of-the-box solution, which is appealing to smaller businesses, while Salesforce needs customization to really unlock its power.

Is Salesforce CRM Right for You or Your Business?

Salesforce CRM is an all-inclusive solution that is best for larger or scaling businesses that have lots of customization or integration needs. Smaller businesses or those without a team to handle the customization capabilities or modification requests will likely be overpaying for a CRM product.

Frequently Asked Questions (FAQs)

Salesforce has many products, but their primary offering is a CRM that is used by many businesses. If you can customize it, then Salesforce can be a potential CRM fit for your business, regardless of size.

When did Salesforce go public?

Salesforce is one of many big-cap tech stocks to watch. Started in 1999, Salesforce went public in 2004. Salesforce founder and Co-Chief Executive Marc Benioff worked at Oracle for 13 years before he left to start the software company.

How much did Salesforce pay for Slack?

Amid growing competition with Microsoft ( MSFT ), Salesforce agreed to pay $27.7 billion for workplace collaboration software maker Slack on Dec. 1. That marked a 55% premium to Slack’s closing price on Nov. 24, before reports of the deal surfaced.

Why is salesforce.com so bearish?

This is because salesforce.com’s beta (a measure of share price volatility) is high, meaning its price movements will be exaggerated relative to the rest of the market. If the market is bearish, the company’s shares will likely fall by more than the rest of the market, providing a prime buying opportunity.

Is buying a company a good investment?

Buying a great company with a robust outlook at a cheap price is always a good investment, so let’s also take a look at the company’s future expectations. However, with an extremely negative double-digit change in profit expected over the next couple of years, near-term growth is certainly not a driver of a buy decision.

Is CRM trading at fair value?

If you’ve been keeping an eye on CRM for a while, now may not be the most advantageous time to buy, given it is trading around its fair value. The stock appears to be trading at fair value , which means there’s less benefit from mispricing.

Big Market Opportunity

Strong Financial Performance

• Salesforce’s leadership position in the CRM market has helped it grow revenue quickly. In fact, in the most recent earnings call, CEO Mark Benioff said Salesforce will reach $50 billion in annual revenue faster than any other enterprise software company. Data source: Salesforce SEC filings. Note: Fiscal 2021 ended Jan. 31, 2021. CAGR = compound ann…

See more on fool.com

Innovative Culture

A Final Word